Three options for the sugar mills Kigumas

Sugar Sugar Factory Industrial Society in the village of rewards, Gondanglegi District, Malang, East Java, has not operated in accordance with expectations, but construction costs are not small. Malang Regent Rendra Krishna prepared three options that will be taken to the rescue.

“There are three options to be offered to the continuation of the sugar mill, but until now still not sure which option will be selected district government,” said Renda Krishna in Malang, Friday.

Three options for the fate of Sugar Industrial Estate Society (Kigumas) which was built in 2003 it is whether it will be sold, or donated to community cooperation. Which option will be taken subject to approval by the board of the district government.

Further Rendra said a number of attempts have been made by the regency of Malang, including conducting due diligence and legal opinions in 2012. Currently also being conducted appraisal (valuation) to calculate how much the value of the actual building Kigumas.

He was admitted to the present PT Kigumas previously built with the hope to contribute to local revenue (PAD) and improve the welfare of sugarcane farmers, it is still not operating as expected.

In fact, the Renda, the condition lasts long enough. Moreover, after the emergence of case law in the area of ​​industrial projects plantation society (kimbun) which spread to PT Kigumas, for being one of the evidence in the case.

“We hope this problem has a solution soon so Kigumas can operate according to expectations and objectives in its development,” said Renda.

Chairman of Malang Regency Saso previous day also questioned the handling and assets that do not generate revenue Kigumas at all, even the condition of buildings and equipment gilingnya also “stalled”.

Kigumas Sugar Factory which was inaugurated by President Megawati Sukarnoputri to-5 was built starting in 2001 with a budget of Rp30 billion from the budget revenue and expenditure (budget) Malang.

Kigumas initially built to accommodate the farmers who harvest sugar cane annually excess production, so it must be sent to a number of areas.

Kigumas development on an area of ​​11 thousand square meters that can be targeted return on investment (BEP) after one year of operation. Initial design is able to produce sugar Kigumas super category one with a production capacity of 250 TCD.

Farmers Sugar Price Dropped

Semarang, – farm gate price of sugar in Central Java back drop. Currently the price to Rp 9,470 per kilogram from Rp 10,050 per kilogram. Chairman of the Council Indonesian Sugarcane Plantation Association (APTRI) Java Sukadi Wibisono said sugar prices have tumbled since two months ago.
Drop in sugar prices due to transport cut sugar factory management. The process of cutting transport queue until the production process reaches four to five days. Whereas the standard should not be more than one day. The new cane harvested, transported for processing directly in the sugar factory.
“As a result, sugar yield decreased to 6% only. Whereas previously could be more than 7%,” he said on the sidelines of the auction sugar by traders, yesterday.
According to him, the sugar factory shall fix the cut freight management. So that the loss rate is very high yield does not occur. Queues at the sugar factory railway yard too long, can be up to two days. So the amount of sugar cane that has been harvested from the garden lot that is not transported. Amount of cane that is not transported and left alone in the garden, making the yield down.
“If calculated, with a 6% yield of the sugar mills are profit. However aggrieved farmers. If you like this, long-time farmers are not interested in planting sugar cane,” he said.
Yield is the level of sugar content in the sugarcane expressed in percent. Yield 10%, meaning that the 100 kilograms of sugar cane to sugar mills digilingkan be obtained as much as 10 pounds of sugar.
“Wet dry conditions had no effect on the quality of the yield. Due to the rain does not happen every day,” he said.
He said that the falling price of sugar in auction rate farmers are very concerned, because it would threaten the sustainability of the cultivation of sugarcane plantations in Central Java. Not to mention cutting labor costs and increasingly burdensome transportation rose growers.
“It is feared that self-sufficiency can not be achieved,” added Sukadi.
This year APTRI predict the amount of sugar cane production in the province will increase to 42 million quintals. Last year, the amount of sugar cane production by 35, 714 million quintals, and 2011, only about 30 million quintals.
Currently sugar mills are having entered the milling season until October 2013. Of eleven sugar factories in operation, production is highest in PG Trangkil at 50000-60000 quintals per day. Then followed PG Tasikmadu, Sragi, Rendeng, Pakis, Mojo, Pangkah, Jatibarang, Sumberharjo, Cepiring, and New Gondang.